10th Nov 2023 09:51
(Alliance News) - Helium One Global Ltd on Friday said it encountered an issue with its Epiroc Predator 220 drilling rig at Tai-3 operations.
The London-based helium explorer focused on Tanzania said the issue with the hydraulic system is affecting the performance of the iron rough neck mechanism.
"Both the hydraulic system and the iron rough neck are critical to the operations of the rig and, as a result of this, the company has had to temporarily shut down operations whilst the full extent of the issue is determined," Helium One explained.
It is currently unable to pull the drill string out of the hole and is therefore unable to start wireline operations as planned. The drill pipe can still be rotated and drilling fluid circulated, with "good stability" the company said.
On a positive note, Helium One said that Tai-3 results during drilling "were very encouraging" with helium shows up to six times above background at multiple levels, with increasing frequency and quality with depth.
It said that it is fully committed to resolving the issue, aiming to obtain valuable wireline data and downhole gas samples.
Chief Executive Officer Lorna Blaisse said: "Whilst this delay is frustrating not only for the team, but also for our shareholders, we are hugely encouraged by the initial results from Tai-3 and are looking forward to a full and positive well evaluation as soon as this issue is resolved."
Helium One shares were down 5.0% to 5.70 pence each on Friday morning in London.
By Tom Budszus, Alliance News reporter
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